TSX: SHLE
CALGARY, March 22, 2019 /CNW/ - Source Energy
Services Ltd. ("Source" or the "Company") is pleased to announce
that it has filed with the applicable Canadian securities
regulatory authorities updated National Instrument 43-101 –
Standards of Disclosure for Mineral Projects ("NI 43-101")
technical reports for each of its three mineral projects in
Wisconsin, United States (collectively, the "Technical
Reports").
The Technical Reports have each been prepared with an effective
date of December 31, 2018 and were
updated as part of an annual assessment that accounts for
conventional mining depletion of the mineral resources and include
updated production records. The updated resources do not represent
a 100% or greater change in the total mineral resources.
Mineral resources are not mineral reserves and do not have
demonstrated economic viability. There is no guarantee that all or
any part of the mineral resource will be converted into a mineral
reserve. Source has not based its production decisions and ongoing
mine production on mineral reserve estimates, preliminary economic
assessments, pre-feasibility studies or feasibility studies. As a
result, there may be an increased uncertainty of achieving any
particular level of recovery of minerals or the cost of such
recovery and historically projects without any mineral reserves
have increased uncertainty and risk of failure.
Further details with respect to the scientific and technical
information contained in this press release are available in the
Technical Reports, which are available under the Company's SEDAR
profile at www.sedar.com.
All scientific and technical information in this press release
was prepared in accordance with the standards of the Canadian
Institute of Mining, Metallurgy and Petroleum and NI 43-101 and was
compiled, reviewed, verified and reported by Roy Eccles, M. Sc., P. Geol. who is the
Qualified Person for the purpose of NI 43-101.
ABOUT SOURCE ENERGY SERVICES
Source is a fully integrated producer, supplier and distributer
of high quality Northern White frac sand primarily to the WCSB.
Source provides its customers with a full end-to-end solution
through its mines, processing facilities, rail assets,
strategically located terminal network and "last mile" logistics
operations. In addition, Source provides storage and logistics
services for other bulk oil and gas well completion materials that
are not produced by Source. Source's full-service approach allows
customers to rely on its logistics capabilities to increase
reliability of supply and to ensure the timely delivery of their
growing requirements for frac sand and other bulk completion
materials.
FORWARD-LOOKING STATEMENTS
Certain statements contained in this press release constitute
forward-looking statements relating to, without limitation,
expectations, intentions, plans and beliefs, including information
as to the future events, results of operations and Source's future
performance (both operational and financial) and business
prospects. In certain cases, forward-looking statements can be
identified by the use of words such as "expects", "estimates",
"forecasts", "intends", "anticipates", "believes", "plans",
"seeks", "projects" or variations of such words and phrases, or
state that certain actions, events or results "may" or "will" be
taken, occur or be achieved. Such forward-looking statements
reflect Source's beliefs, estimates and opinions regarding its
future growth, results of operations, future performance (both
operational and financial), and business prospects and
opportunities at the time such statements are made, and Source
undertakes no obligation to update forward-looking statements if
these beliefs, estimates and opinions or circumstances should
change. Forward-looking statements are necessarily based upon a
number of estimates and assumptions made by Source that are
inherently subject to significant business, economic, competitive,
political and social uncertainties and contingencies.
Forward-looking statements are not guarantees of future
performance. In particular, this press release contains
forward-looking statements pertaining, but not limited, to: mineral
resources attributable to each mineral project. Statements relating
to mineral resources are deemed to be forward looking-statements,
as they involve the implied assessment, based on certain estimates
and assumptions, that the mineral resources described exist in the
quantities predicted or estimated and that the mineral resources
described might be able to be profitably produced in the
future.
By their nature, forward-looking statements involve numerous
current assumptions, known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or
achievements of Source to differ materially from those anticipated
by Source and described in the forward-looking statements
With respect to the forward-looking statements contained in this
press release, assumptions have been made regarding, among other
things: proppant market prices; future oil, natural gas and natural
gas liquids prices; future global economic and financial
conditions; future commodity prices, demand for oil and gas and the
product mix of such demand; levels of activity in the oil and gas
industry in the areas in which Source operates; the continued
availability of timely and safe transportation for Source's
products, including without limitation, rail accessibility; the
maintenance of Source's key customers and the financial strength of
its key customers; the maintenance of Source's significant
contracts or their replacement with new contracts on substantially
similar terms and that contractual counterparties will comply with
current contractual terms; operating costs; that the regulatory
environment in which Source operates will be maintained in the
manner currently anticipated by Source; future exchange and
interest rates; geological and engineering estimates in respect of
Source's resources; the recoverability of Source's resources; the
accuracy and veracity of information and projections sourced from
third parties respecting, among other things, future industry
conditions and product demand; demand for horizontal drilling and
hydraulic fracturing and the maintenance of current techniques and
procedures, particularly with respect to the use of proppants;
Source's ability to obtain qualified staff and equipment in a
timely and cost-efficient manner; the regulatory framework
governing royalties, taxes and environmental matters in the
jurisdictions in which Source conducts its business and any other
jurisdictions in which Source may conduct its business in the
future; future capital expenditures to be made by Source; future
sources of funding for Source's capital program; Source's future
debt levels; the impact of competition on Source; and Source's
ability to obtain financing on acceptable terms.
A number of factors, risks and uncertainties could cause results
to differ materially from those anticipated and described herein
including, among others: the effects of competition and pricing
pressures; risks inherent in key customer dependence; effects of
fluctuations in the price of proppants; risks related to
indebtedness and liquidity, including Source's leverage,
restrictive covenants in Source's debt instruments and Source's
capital requirements; risks related to interest rate fluctuations
and foreign exchange rate fluctuations; changes in general
economic, financial, market and business conditions in the markets
in which Source operates; changes in the technologies used to drill
for and produce oil and natural gas; Source's ability to obtain,
maintain and renew required permits, licenses and approvals from
regulatory authorities; the stringent requirements of and potential
changes to applicable legislation, regulations and standards; the
ability of Source to comply with unexpected costs of government
regulations; liabilities resulting from Source's operations; the
results of litigation or regulatory proceedings that may be brought
against Source; the ability of Source to successfully bid on new
contracts and the loss of significant contracts; uninsured and
underinsured losses; risks related to the transportation of
Source's products, including potential rail line interruptions or a
reduction in rail car availability; the geographic and customer
concentration of Source; the ability of Source to retain and
attract qualified management and staff in the markets in which
Source operates; labour disputes and work stoppages and risks
related to employee health and safety; general risks associated
with the oil and natural gas industry, loss of markets, consumer
and business spending and borrowing trends; limited, unfavourable,
or a lack of access to capital markets; uncertainties inherent in
estimating quantities of mineral resources; sand processing
problems; and the use and suitability of Source's accounting
estimates and judgments.
Although Source has attempted to identify important factors that
could cause actual actions, events or results to differ materially
from those described in its forward-looking statements, there may
be other factors, including those described under the heading "Risk
Factors" in Source's AIF, that cause actions, events or results not
to be as anticipated, estimated or intended. There can be no
assurance that forward-looking statements will materialize or prove
to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. The
forward-looking statements contained in this press release are
expressly qualified by this cautionary statement. Readers should
not place undue reliance on forward-looking statements. These
statements speak only as of the date of this press release. Except
as may be required by law, Source expressly disclaims any intention
or obligation to revise or update any forward-looking statements or
information whether as a result of new information, future events
or otherwise.
SOURCE Source Energy Services